A skeptical Medford City Council on Thursday night took issue with the Downtown Medford Association taking too long to become financially independent.

Despite the reservations, the council, during a study session, indicated it might throw a one-year financial lifeline of $125,000 to the DMA to continue work that could lead to an economic improvement district to provide a more solid funding source.

The grant to the DMA is one of eight local grants the council is considering that total almost $1 million, funded mostly by cannabis tax dollars.

The city grants to local organizations would be voted on at a later time by the council, but some councilors expressed concern about supporting a longer three-year financial commitment to the DMA.

A previous attempt to form an economic district in downtown Medford during the last decade was unsuccessful.

The association, which has previously received financial support from the city, has helped facilitate various efforts to liven up the downtown, including spring and summer hanging flower baskets, Bikes ‘n Brews sponsorship, holiday lights and Third Friday events.

Councilor Kevin Stine said the DMA continues to ask for “more and more time” to garner support from downtown merchants before they vote on the economic district, which currently proposes a 10-cents-per-square-foot assessment.

“How come you can’t get enough committee members to get this done?” he said.

Stine did indicate he would likely support the one-year grant to the DMA.

David Wilkerson, a DMA member and project manager with ORW Architecture, said the DMA has been attempting to create a better relationship with downtown merchants to help garner support for the economic district.

“If we rush the process, it will fail,” he said

Wilkerson said the outreach to merchants takes time, and volunteer DMA committee members have other obligations, including preparing for events in the downtown.

“We need a full-time director and more committee members,” Wilkerson said.

After being pressed by councilors for a date when the DMA would seek a vote on the economic district, Wilkerson said he expected it could be accomplished over the next year.

The DMA has gone through various iterations over the past decade, and it has been trying to develop trust with the downtown property owners, even helping secure grant funding for the Holly Theatre restoration.

After a four-month, $26,000 study by the consulting firm Civitas showed at least 50% of property owners in the downtown supported a district, the DMA released proposed boundaries at a city council meeting in June.

The district would encompass some 178 different properties in an area bounded by Sixth Street to the north, Eighth Street to the south, Oakdale Avenue to the west and Bear Creek to the east. Main Street would be the backbone of the proposed district.

Councilor Tim D’Alessandro said he fully supports providing money to the DMA.

“I see way more success in what you are doing currently than what I’ve seen before,” he said. “We have a financial responsibility to invest in our downtown.”

D’Alessandro urged councilors to be patient.

“I truly believe they’re going to get over the finish line,” he said.

Councilor Nick Card said he didn’t know if he could support providing long-term funding from the city at this time.

“Until there is a stable funding source, this will continue to happen,” he said. “I have no appetite for a long-term commitment.”

Jessica Ayres said that if the council doesn’t provide money to the DMA, the economic district likely won’t materialize.

She said the DMA uses the grant to help fund various events in the downtown and without those events the support for an economic district would be eroded.

The council indicated it wants to see a firm commitment from the DMA of what the association hopes to accomplish over the next year before the council votes on a contract to provide the $125,000.

Councilor Sarah Spansail said she wants to support the DMA, but thought a shorter time frame was more appropriate.

“I’m less gung-ho with a three-year contract,” she said.